The new owner is Titan Real Estate Investment Group Inc. of ElSegundo, in partnership with an institutional fund advised byUrdang Capital Management, an investment adviser out of PlymouthMeeting, PA. The seller was Brookwood Financial Partners, aMassachusetts-based private equity firm. The cap rate on thetransaction is said to be in the 7% range.

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The 2.9-million-sf Harbor Bay Business Park sits adjacent toOakland International Airport. Abbott Laboratories, which has 6.5years left on its lease, owns three of the surrounding parcels. Thecompany's Alameda-based Diabetes Care division develops andmanufactures several glucose monitoring systems and teststrips.

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"[Our facility] is going to be part of their 500,000-sf diabetesheadquarters campus," Titan managing director Kevin Kaseff tellsGlobeSt.com. "They have been pumping a ton of money into ourfacility and their surrounding parcels."

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Harbor Bay Business Park has had problems with ingress andegress to go along with a mid-teens vacancy rate. Now, the accessproblems have been solved and a large mixed-use development calledAlamedaLanding is under way on the 81-acre former US Navy FleetIndustrial Supply Center. Delivery of the first phase of office andretail buildings is slated for the second half of 2008.

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"I just think the fundamentals will improve," Kaseff says."We're looking at a five- to 10-year hold period."

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